Micro Focus completes acquisition of NetManage, Inc.

Wed Jun 18, 2008 12:33pm EDT

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LONDON--(Business Wire)--
Micro Focus International plc (MCRO.L "Micro Focus" or "the
Group"), today announced that it has completed the acquisition of
NetManage, Inc. the NASDAQ-listed software provider of technologies to
transform core applications into new Web-based business solutions.

   Completion of the transaction follows a special meeting of
NetManage, Inc. shareholders held on 17 June 2008 at which its
shareholders accepted the Offer. As previously announced by Micro
Focus, it is intended that the NetManage business will now be fully
integrated into the Micro Focus Group.

   On 1 May 2008, Micro Focus announced an agreed offer for NetManage
valuing the existing issued share capital of NetManage at
approximately US$73.3 million including the value of all outstanding
options. In accordance with the terms of the transaction, NetManage's
cash balance immediately prior to closing was over and above the
minimum $25 million as per the agreement, standing at approximately
$27 million.

   Stephen Kelly, CEO of Micro Focus International plc said:

   "Combining the businesses of Micro Focus and NetManage will
further strengthen Micro Focus's position as a leading player in the
fast growing Application Modernisation market and provide the enlarged
Group with further opportunities for growth through a more
comprehensive and broader product offering. Due to the complementary
nature of the two businesses from a market, product and financial
perspective, we are well placed to deliver value from this acquisition
and look forward to implementing the integration of the NetManage
business."

   About Micro Focus

   Micro Focus (LSE: MCRO.L), is a London Stock Exchange-listed
software company headquartered in the UK which provides innovative
software that allows companies to dramatically improve the business
value of their enterprise applications. Micro Focus Enterprise
Application Modernisation and Management software enables customers'
business applications to respond rapidly to market changes and embrace
modern architectures with reduced cost and risk. For additional
information please visit www.microfocus.com.

   About NetManage

   NetManage, Inc. (NASDAQ:NETM), is a NASDAQ-listed software company
that provides the fastest way to transform core applications into new
Web-based business solutions. More than 10,000 customers worldwide,
including the majority of the Fortune 500, have chosen NetManage for
mission critical application integration. For more information, please
visit www.netmanage.com.

Micro Focus
Chief Executive, Stephen Kelly
Chief Financial Officer, Nick Bray
Tel: +44 (0)1635 32646
Financial Dynamics
Harriet Keen
Haya Chelhot
Hazel Stevenson
Tel: +44 (0)20 7831 3113
Arma Partners (Financial advisor to Micro Focus)
Paul-Noel Guely, Tel: +44 (0)20 7290 8100
UBS (Broker to Micro Focus)
Nick Adams, Tel: +44 (0) 20 7567 8000

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